Tariff of Mortgage Charges

Transcription

1 Tariff of Mortgage Charges (Known at Chelsea Building Society as Loans Administration Fee Tariff) At Chelsea Building Society we are working closely with the mortgage industry s initiative with the Council of Mortgage Lenders and Which? to make our fees and charges easy for you to understand. Our tariff of charges fully reflects the initiative s good practice principles which is being used across the industry to help customers compare mortgages. When looking at the fees that other firms charge, you may notice some that don t appear in our tariff (below). This means we don t charge you these fees. NAME OF CHARGE WHAT THIS CHARGE IS FOR HOW MUCH IS THE CHARGE? Before your first monthly payment These are the fees and charges you may have to pay before we release your mortgage funds Application Fee Also called Application Processing Fee Funds Transfer Fee Legal Fee Product Fee Reinspection Fee Valuation Fee Assessing and processing your application (even if your application is unsuccessful or you withdraw it). Electronically transferring the mortgage funds to you or your solicitor. This is included in the application processing fee above. You will normally instruct a solicitor to act on your behalf in connection with your home purchase transaction. You may be required to pay their legal fees and costs as part of their work on your behalf. These fees/ costs are normally charged by the solicitor, directly to you unless we tell you that we will contribute to the legal costs as part of your product deal. This is charged on some mortgages as part of the deal. It can be paid up-front or added to the total mortgage amount. If you add it to your mortgage, you ll pay interest on it at the same rate as the rest of your borrowing. It might be a flat fee, or a percentage of the loan amount. If your mortgage is released in stages and you re using it to renovate your home, this covers the new valuation we need to do after the work s carried out. The lender s valuation report, which is used to calculate how much it will lend you. This is separate from any valuation or survey of the property you might want to commission. There are other homebuyers or structural survey options available to you at a cost and there may be different approaches in different parts of the UK. Some mortgages offer free valuations the product details for your mortgage will tell you if this is the case. 130 Not applicable These fees/costs are charged by the solicitor directly to you. Typically ranging from Individual details are available on request 35 Valuation not exceeding 100, , , , , , , , , , , , , , Mortgage valuation PAGE 1 OF 5

2 Valuation Fee (continued...) 800, , , Product Switch Fee If you wish to switch the mortgage product you have chosen after an offer has been made by us, but before you complete your mortgage. 950, ,000, ,200, ,400, ,600,000 1,065 1,800,000 1,185 2,000,000 1,310 2,200,000 1,430 2,400,000 1,555 2,600,000 1,675 2,800,000 1,800 3,000,000 1,920 3,500,000 2,045 4,000,000 2,170 4,500,000 2,290 5,000,000 2, If you ask us for extra documentation and/or services beyond the standard management of your account Duplicate/Interim statement fee Request for legal documentation fee Requesting a copy of a previous mortgage statement or an interim statement of your account as it stands. It might be paid by you or another lender. Any information relating to your mortgage, e.g. title deeds, that you ask for. 11 Deeds production - 33 Deeds Query - 22 Certificate of title - 9 Duplicate request for certificate of interest paid (for each year) fee Requesting a copy of previously issued certificate of interest paid. 10 Breakdown of transaction Requesting a breakdown of payments on a mortgage account. 11 Copy document Requesting a copy of a mortgage related document Removal of mortgage from Scottish Land Registry Removal of mortgage from Scottish Land Registry. 155 Payment of unpaid ground rent/ service charges When we have to communicate with you and/or your landlord regarding outstanding ground rent or service charges in order to protect the security for the loan. 63 PAGE 2 OF 5

3 If you change your mortgage NB If you change to a new mortgage product, the Before your first monthly payment fees as mentioned in the previous section may also apply at this stage. Early repayment charge (Changing your mortgage) You may have to pay this if: You overpay more than your mortgage terms allow; You switch mortgage product or lender during a special rate period (e.g. while you re on a fixed or tracker interest rate) Partial release of property fee Also called Sale of Part Security Fee Payable if you want to remove part of the property or land from the mortgage. It covers administration costs, including sealing the relevant legal deed and issuing letters of consent. 58 Change of parties administration fee Also called Transfer of Equity Fee Consent to let fee Also called Property Letting Fee Giving you a reference Consent to second / subsequent charge Our administrative costs of assessing an application for adding or removing someone (a party ) from the mortgage. If you want to let your property but don t have a buy-to-let mortgage, you ll pay this for each consent to let agreement, where we agree to you letting out your property for a set period within your existing owner occupier mortgage. Charged if another lender asks us for a mortgage reference, such as how you have managed your account with us. We will only supply this if you have given us permission. Charged for adding a second / subsequent charge to your property The mortgage interest rate will also be increased by up to 1% where the account holder(s) have agreed with us the terms of an authorised let. Where an account holder(s) lets the property and has not agreed with us an authorised let, a loading of up to 2% will be applied to the mortgage interest on their account We understand that sometimes you may face some financial difficulties. In the unfortunate event you are unable to make your mortgage payments, you may incur some charges. These are the most common charges you may have to pay if you fail to keep up with your mortgage payments. Some charges, for example those covering unpaid/returned direct debits or cheques, occur at the early stages of your inability to pay (arrears). Other charges, for example, relating to repossession of the property, may apply later in the process and will be dependent on your circumstances. See later sections for typical litigation and possession fees and costs. Don t forget that we are here to help, so if you are having trouble making your mortgage payments call us on Unpaid / returned direct debit or cheque Arrears Fee called Arrears administration fee Third Party Field Agents appointment Payable when your nominated bank rejects a direct debit collection, or your payment by cheque is returned unpaid by your bank. This may be charged if your mortgage account falls into arrears by two or more monthly payments, unless there is an arrangement in place to fully repay the arrears and it is being maintained. An appointment for a representative of ours who visits you at home to discuss your mortgage account, financial position and circumstances. Unpaid direct debit - 12 Bounced cheque per month, per account 80* Missed third party Field Agents appointment A cancelled or missed appointment with a field agent. 60* Property Inspection Property inspection to identify occupancy and/or property condition. 55 Address Confirmation This fee will be charged where it is necessary for us to trace your current whereabouts. up to 100 *These charges are also applicable to Chelsea Buy to Let accounts. Applicable to Chelsea Buy to let accounts only Should the Society take action to enforce the terms of the mortgage, you will be responsible for payment of all fees, including any receiver s fees and legal fees which will be added to your mortgage balance. If Chelsea appoints a receiver, they will be acting on your behalf and you are responsible for paying for their services. The fees payable will depend upon the type of action or proceedings that have to be taken. PAGE 3 OF 5

4 Ending your mortgage term Early repayment charge (ending your mortgage) Mortgage exit fee Also called Mortgage fee Subsequent redemption statement You may be charged this if you repay your mortgage in full before the mortgage term ends. You may have to pay this if: You repay the mortgage in full before the end of the mortgage term; You transfer the loan to another lender; or Transfer borrowing from one property to another. This is payable before the end of your mortgage term if you transfer the loan to another lender or another property (known as redemption ). You may be charged a separate fee by your solicitor or licensed or qualified conveyancer for their work relating to redemption of the mortgage and discharge of the security. This fee does not apply when your mortgage term naturally comes to an end. Charged for providing a subsequent redemption statement on repayment of your loan. 11 LITIGATION FEES FOR NON BUY TO LETS In the unfortunate event you are facing financial difficulties and can t meet your mortgage obligations, we may need to ask our solicitors to recover any missed payments, litigate or start Court proceedings to obtain possession of your home. If this happens you will be liable for all our and their fees, costs and expenses. Listed below are the standard costs. You will also be liable for any additional non-standard or other third party costs which will vary depending on your circumstances. As a guide only, for properties in England and Wales, typical litigation costs can be in the region of 800. Don t forget that we are here to help, so if you are having trouble making your mortgage payments call us on We ll be able to discuss your circumstances and could offer help to meet your individual needs. Fee Per Solicitor Instructed To: When This Fee Is Payable Amount Commence legal action Notify you in writing of our instructions to commence legal action. 25 Issue proceedings Issue Court proceedings and apply for a hearing date. 75 Preparation Prepare for the Court hearing date. 60 Attend hearing Arrange attendance at the Court hearing and dealing with the outcome. 25 Adjournment Adjourn the Court hearing date. 60 Monitoring Monitor the payment terms of the Suspended Possession Order. Charged per each unbroken period of monitoring. 50 Enforcement Enforce the Possession Order and obtain an eviction date. 25 Attendance for eviction Instructions to solicitors to arrange attendance on the day of eviction. 60 Suspend Warrant Instructions to solicitors to suspend a warrant for possession: with agent in attendance without agent in attendance Cancellation of Eviction Cancelling the eviction after 5pm on the day before the eviction. 125 PAGE 4 OF 5

5 POSSESSION FEES FOR NON BUY TO LETS If possession is unavoidable, you will be liable for all costs and expenses related to this. These costs include all our solicitors, agents and other third parties fees, and all our associated costs and expenses. These will also include costs in connection with the management, maintenance and the sale of the property. We may also need to instruct agents to carry out investigative work needed to obtain possession. We have listed below the standard costs you may incur. You will also be liable for any additional non-standard or other third party costs which will vary depending on your circumstances. As a guide only, for properties in England and Wales, typical possession costs can be in the region of Fee When This Fee Is Payable Amount Possession Administration fee Administrative costs for managing the sale of the property. 300 Valuation cost Estate Agent/Auctioneer Commission Solicitors Costs for a standard sale Report from a Royal Institute of Chartered Surveyors qualified surveyor of the estimated market value of the property and suggested marketing price. Two valuations will be obtained. Recommendation of the proposed selling price and marketing strategy, advertising and agreeing a sale either through private treaty or an auction sale. Solicitors conveyancing costs for checking the title to the property, preparing a contract, exchange and completion of the contract. 100 per valuation 1.5% of sale price (minimum fee 1,000) 300 Withdrawal Fee For instructing the asset manager to take the property off the market. 150 plus costs Energy Performance Certificate Property management costs Garden maintenance Charge for the compilation of an Energy Performance Certificate required by a buyer before the property can be marketed. Charged following possession of the property for changing locks, draining and switching off systems, and clearance of property in preparation for sale. Garden maintenance whilst the property is marketed for sale during seasonal months: April October per visit Accompanied visit To arrange an accompanied visit to remove remaining items from the property Weekday: half day/full day Weekend: half day/full day Auction Entry Fee Fee for entering a property into an auction sale. 250 Solicitors costs - abortive sale Solicitors costs where an offer is withdrawn / / 180 Solicitors costs - distributing surplus proceeds Solicitors costs - distributing surplus proceeds Solicitors costs in establishing identity of the entitled person to whom the surplus should be paid, and distribution of surplus proceeds. Solicitors costs in establishing identity of the entitled person to whom the surplus should be paid, including tracing and distribution of surplus proceeds Solicitors costs - payment of surplus proceeds into Court Solicitors costs to make payment of surplus proceeds into Court. 250 All arrears management, litigation and possession fees are for properties in England and Wales. Fees will vary for properties in Northern Ireland and Scotland. The fees quoted for arrears management, litigation and possession are subject to VAT. The fees will be added to your mortgage balance and will accrue interest that is payable by you. All communications with us may be monitored/recorded to improve the quality of our service and for your protection and security. Calls to 03 numbers are charged at the same standard network rate as 01 or 02 landline numbers, even when calling from a mobile. Chelsea Building Society and the Chelsea are trading names of Yorkshire Building Society. Yorkshire Building Society is a member of the Building Societies Association and is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Yorkshire Building Society is entered in the Financial Services Register and its registration number is Principal Office: Yorkshire House, Yorkshire Drive, Bradford BD5 8LJ. Buy to let mortgages are not regulated by the Financial Conduct Authority. Chelsea Building Society Timbercombe House Charlton King Business Park Cirencester Road Cheltenham GL53 8DZ Tel: thechelsea.co.uk CBM PAGE 5 OF 5